Benzinga | Dec 4, 2020 04:58AM EST

Microsoft's Cloud Products Are Attracting New Customers

Microsoft Corporation's (NASDAQ: MSFT) recently launched cloud-based analytics tools, Azure Synapse Analytics and Azure Purview, targeting enterprise data warehousing.

Azure Synapse Analytics is a SQL data warehouse with analytical capabilities, and Purview is a governance tool addressing Software-as-a-Services (SaaS) data. The next-generation products are driving cloud growth for Microsoft, Bloomberg reports.

What Happened Microsoft's new products are taking on Amazon Inc's (NASDAQ: AMZN) cloud platform AWS and cloud-based data warehouse Snowflake Inc (NYSE: SNOW).

Microsoft CEO Satya Nadella said, "Today, we are generating data faster than we are able to understand it." Microsoft hopes to grab this opportunity and explore the feasibility of its analytical and governance tools, as per Bloomberg.

Purview is not only a data governance software but also works effectively with security and compliance features of third-party cloud service providers like AWS, says Bloomberg.

Why Does It Matter Snowflake's stock price is a fair indicator of cloud warehousing and analytics' overall demand. Since its IPO in mid-September, SNOW is up 41.6%, and its market cap has crossed $94 billion.

Bloomberg claims that the cloud data management services market in 2021 could touch $13 billion, based on research from Forrester.

Azure Executive Vice President, Jason Zander, listed Synapse use-cases in the financial sector, medical and healthcare domain, and the logistics and delivery business.

ABN Amro Bank NV (OTC: AAVMY) uses Microsoft's Synapse to decipher the optimal financial products and services that can be pitched to customers. Some other recognized corporate names on the Synapse customer list include Proctor & Gamble Co (NYSE: PG) and FedEx Corporation (NYSE: FDX).

Price Action MSFT dipped 0.52% to close at $214.24 on Thursday.